 Dollar staged a strong rebound overnight, reversing all of prior day's losses. The uninspiring FOMC minutes were a lift in a way that it provided no dovish elements for further selloff. Yet, the greenback is kept well below near term resistance levels against all major currencies. It also remains the second worst performing one for the week, next to Swiss Franc, for the time being. A reversal is not warranted yet. Dollar will probably need some guidance from today's jobless claims data. As for the week, Yen is currently the strongest, followed by Canadian. Technically, dollar will stay near term bearish as long as these levels hold: 1.1711 support in EUR/USD, 1.3005 support in GBP/USD, 0.7109 support in AUD/USD. 0.9197 resistance in USD/CHF, 1.3271 resistance in USD/CAD. We'll see if they would be taken out one by one. EUR/CHF's break of 1.0838 resistance suggests resumption of rise from 1.0602 towards 1.0915 high. AUD/JPY appears to be rejected by 76.86 resistance and focus is now back on trend line support at 75.76. In Asia, currently, Nikkei is down -1.03%. Hong Kong HSI is down -1.87%. China Shanghai SSE is down -0.89%. Singapore Strait Times is down -1.86%. Japan 10-year JGB yield is up 0.0022 at 0.032. Overnight, DOWN dropped -0.31%. S&P 500 dropped -0.44%. NASDAQ dropped -0.57%. 10-year yield rose 0.006 to 0.675. |
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